Banca Ifis SPA (IF) AI Stock Analysis

• Market Cap: €1.34B
• Dividend Yield: 8.55%
• Average Volume (3M): 145.18K
• Price to Earnings (P/E): 7.6
• Beta (1Y): 0.92
• Revenue Growth: -3.63%
• EPS Growth: -5.12%
• Country: IT
• Employees: 2,013
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): N/A
• Shares Outstanding: 61,540,455
• 10 Day Avg. Volume: 166,734
• 30 Day Avg. Volume: 145,175
• PEG Ratio: 7.00
• Price to Book (P/B): 0.64
• Price to Sales (P/S): 1.68
• P/FCF Ratio: -4.97
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 71 Outperform
• Price Target: €28.00 ▲(12.90% Upside)

Banca Ifis SPA's overall stock score is driven by its attractive valuation and strong dividend yield, which are significant positives. However, financial risks from increasing leverage and negative cash flow trends, along with technical indicators suggesting the stock is overbought, temper the score.

Positive Factors

Revenue Growth

Consistent revenue growth over several years indicates a stable business model and effective market positioning, particularly in the SME and healthcare sectors.

Profitability

Improved return on equity suggests enhanced profitability and efficient use of shareholder funds, supporting long-term financial health.

Strong Margins

Stable EBIT margins reflect efficient operational management and the ability to maintain profitability despite market fluctuations.

Negative Factors

Rising Leverage

Increasing leverage could strain financial flexibility and pose risks to long-term stability if not managed carefully.

Negative Cash Flow

Negative operating cash flow indicates potential liquidity issues and inefficiencies in converting earnings into cash, which could impact future operations.

Revenue Decline

A negative revenue growth rate suggests challenges in maintaining sales momentum, which could affect future profitability and market position.

Banca Ifis SPA Business Overview & Revenue Model

Company Description

Banca Ifis SPA is an Italian banking institution specializing in providing financial services primarily to small and medium-sized enterprises (SMEs). Established in 1983, the bank operates in several sectors, including factoring, lending, and financial services for healthcare. Its core products include factoring solutions, which allow businesses to improve their cash flow by selling their receivables, as well as various financing options tailored to the needs of SMEs and healthcare providers.

How the Company Makes Money

Banca Ifis generates revenue primarily through its factoring and lending services. The company's main revenue streams include interest income from loans and financing products, fees from factoring services, and commissions from various financial advisory services. Additionally, Banca Ifis has a significant presence in the healthcare financing sector, providing specialized loans and services to healthcare providers, which enhances its earnings. The bank also benefits from strategic partnerships with other financial institutions and businesses, allowing it to expand its service offerings and customer base. Overall, Banca Ifis's focus on SMEs and the healthcare sector positions it well for sustained revenue growth.

Banca Ifis SPA Financial Statement Overview

Summary

Banca Ifis SPA shows stable revenue growth and strong profit margins. However, increasing leverage and negative cash flow trends pose financial risks. The company needs to improve cash flow generation and manage debt levels to sustain financial health.

Income Statement

Banca Ifis SPA has demonstrated consistent revenue growth from €489M in 2020 to €661M in 2024, indicating a stable upward trend. The gross profit margin has remained strong at 100% due to the nature of banking operations. EBIT margins have been stable, maintaining around 40%, which reflects efficient operational management. However, the absence of EBITDA data for 2024 limits further analysis on operating profitability.

Balance Sheet

The company's debt-to-equity ratio increased from 1.44 in 2020 to 2.23 in 2024, indicating higher leverage which could pose financial risks. The equity ratio has slightly declined, suggesting decreasing asset financing by equity. Despite these concerns, return on equity has improved from 4.52% in 2020 to 9.33% in 2024, showing enhanced profitability relative to shareholder equity.

Cash Flow

The free cash flow has shown volatility, with a significant drop to a negative figure in 2024. Operating cash flow was also negative in 2024, which presents a potential liquidity concern. The free cash flow to net income ratio turned negative, indicating inefficiencies in converting earnings into cash flow. This could be a risk if the trend continues.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.02B	1.04B	941.90M	683.73M	621.62M	596.71M
Gross Profit	1.02B	607.08M	598.84M	569.49M	507.47M	489.00M
EBITDA	254.73M	268.60M	255.14M	228.71M	167.77M	109.54M
Net Income	155.08M	161.58M	160.11M	141.09M	100.58M	68.80M
Balance Sheet
Total Assets	13.96B	13.83B	14.05B	13.26B	12.98B	12.03B
Cash, Cash Equivalents and Short-Term Investments	409.63M	579.01M	883.83M	610.36M	708.57M	986.58M
Total Debt	2.87B	3.67B	5.17B	2.74B	2.62B	2.20B
Total Liabilities	12.16B	12.08B	12.36B	11.66B	11.35B	10.48B
Stockholders Equity	1.78B	1.73B	1.68B	1.59B	1.60B	1.52B
Cash Flow
Free Cash Flow	0.00	-223.72M	400.73M	382.38M	52.79M	158.29M
Operating Cash Flow	0.00	-191.52M	445.41M	399.95M	73.42M	205.30M
Investing Cash Flow	0.00	-50.66M	-105.85M	-17.51M	73.54M	10.32M
Financing Cash Flow	0.00	-110.34M	-85.16M	-134.69M	-83.18M	-5.00K

Banca Ifis SPA Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 24.80
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IT:IF, the sentiment is Positive. The current price of 24.8 is above the 20-day moving average (MA) of 23.23, above the 50-day MA of 22.21, and above the 200-day MA of 21.27, indicating a bullish trend. The MACD of 0.79 indicates Negative momentum. The RSI at 68.81 is Neutral, neither overbought nor oversold. The STOCH value of 50.15 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IT:IF.

Banca Ifis SPA Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CE	73 Outperform	€4.67B	7.00	14.69%	6.46%	-7.81%	4.89%
IF	71 Outperform	€1.34B	7.57	8.85%	8.55%	-3.63%	-5.12%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
PRO	64 Neutral	€104.01M	22.08	7.01%	8.45%	-19.12%	29.55%
BDB	61 Neutral	€1.14B	9.74	7.87%	5.22%	-5.81%	-11.05%
ILTY	59 Neutral	―	―	―	―	―	―
DOV	47 Neutral	€509.98M	-14.85	-12.79%	―	22.48%	69.78%